Shein Launches Hong Kong IPO at $27 Billion Valuation
Shein Global Holdings Limited launched its initial public offering (IPO) on the Hong Kong Stock Exchange, selling approximately 280 million Class B shares priced between HK$47.60 and HK$49.50 per share. This values Shein at up to $27 billion, a significant drop from previous private valuations of over $98 billion in 2022. The IPO is expected to raise up to $1.77 billion, with trading set for September 1 under the stock code 00625. The company's valuation decline reflects weakening financial performance, including a net loss of $99 million in Q1 2026 and slowing revenue growth due to increased U.S. duties on small Chinese packages. Shein plans to use around 80% of the IPO proceeds for technology upgrades and international expansion. The co-founders will retain significant control with 90% voting power, while cornerstone investors like Boyu Capital and Tencent have committed substantial funds. The listing is Hong Kong's largest new share issuance this year and follows failed attempts to list in New York and London. Shein faces regulatory challenges including a U.S. FTC investigation and potential legal costs of up to $80 million.
Topics: Hong Kong Stock Exchange IPO Shein valuation